When purchasing a home, especially for the first time, you are going to encounter a lot of terms and jargon you may never have heard before. “Property survey” is one such term you may encounter in the process, and it is often not considered one of the more important parts of the home buying process, but it is an essential part of any home purchase closing process and should not be overlooked. What Is A Property Survey? A property survey is a document, usually in the form of a map or sketch, that outlines all the prominent features of a property, including the house and the physical boundaries of that property. It can also include other items, such as natural features on the property, including ponds or lakes, and man-made features such as pools. These property surveys must be completed by a professional qualified to carry out a property survey, and usually have to be done within six months of any change of deed. Why Do You Need A Property Survey? In some states a property survey is required for a number of reasons. From the perspective of a home buyer, your mortgage lender will usually want to see a […]
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When you enter a home, you are looking for the features you want and need—such as bathrooms, bedrooms, and a backyard. But there are some other things you should be looking for as well when shopping for your new house. Being aware of the potential risks in any given property can save you a lot of money in the long run. Home Insurance Risks When you apply for a homeowner’s insurance policy, your rates will be based on the risk factors that the insurance company sees in the property. Certain factors can increase your rates, and some can even mean you don’t qualify for the best policies. A swimming pool is something most people don’t recognize as a risk factor. Insurance companies see it as a liability risk and are likely to increase your rates. If the pool doesn’t have all of the features required (such as a fence of a certain height) you may even find the company refuses to cover it. Old wiring is another risk factor insurance companies don’t like to see. It increases the odds of a fire, which makes it a risk for your family’s safety as well. Risks Of Future Damage When you look […]
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With the financial markets in crisis and the cost of homes plummeting, the subprime loan options that were responsible for this crash in the first place are becoming less common. But there are still lenders offering these risky loans, and this article will convince you to avoid what may seem like an offer too good to refuse, especially if you are having trouble finding a traditional loan. Here are three reasons why you should avoid subprime lenders! High Interest Rates The most obvious reason to avoid subprime loans is the high interest rate that comes with them. In most cases, if you fall into the subprime category you represent a higher risk than normal for the lenders, and the increased rates protect their investment. Inevitably in this category a certain number of borrowers will default on the loans, and the higher rates ensure that the lender still makes money. This means that you will be paying more for your house than it may ever be worth, and it essentially no longer becomes an asset, but rather a liability. Questionable Business Ethics Another reason to stay away from subprime lenders is their track record of questionable business practices. The bailouts of […]
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If you are in the market for a new home, or it is time to refinance your mortgage, there is no doubt you have been looking at the current interest rates. But with all the financial jargon and the multitude of lenders and mortgages available, understanding your options can really be confusing. Here are some simple facts about interest rates and how they affect your bottom line. Do Your Research As with any major decision, knowing the facts about the housing and financial markets before making any major decision is of vital importance to protecting your investment. Review online the national mortgage rates for different types of loans. There are a number of sites where you can find this information, or you can ask your REALTOR® to point you in the right direction. In general, fixed rates will be higher, but as they don’t fluctuate over the term of your loan they may be a better choice for those who need the stability of fixed payments. Also when comparing interest rates, be sure you are comparing the APR, or Annual Interest Rate, to ensure that your comparisons are on equal ground. Also keep yourself informed on some of the riskier […]
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For many people, owning a vacation home is a dream come true.  Having a place to get away and relax can be wonderful, but it’s also a big investment that shouldn’t be entered into lightly.  If you are in the market for a vacation property, make sure you know what to expect. Consider Location And How Often You Will Visit One of the biggest things to consider when it comes to buying your new vacation home is where it will be located.  Take into account how far you can reasonably drive for weekend visits.  Since most trips out to a vacation home will encompass a Friday through Monday round trip, look at the time you will spend on the road, allowing for Friday evening commute traffic as well. A longer drive means you probably won’t visit as frequently, so another important thing to consider is whether it is worth the cost if you can’t go as often as you’d like. Will You Rent It Out? Many people help offset the cost of owning a vacation home by offering it as a vacation rental when they aren’t using it.  While this can be a great way to help pay the mortgage, […]
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